Goodluck India Limited shares are having a good spell in positive territory today following an announcement from the company that it is setting up a new manufacturing facility for its existing line of business in steel tubes, pipes, precision tubes etc. at its land situated at SikraTaluka-Bhachau (Kachchh) in Gujarat.
The proposed manufacturing facility of approximately 72,000 MTPA will add to the company's exisiting capacity of 2,30,000 MTPA. Currently, the unit is running at optimal capacity utilization, and the new facility will add in the company's total production capacity, Goodluck India said.
The facility will come up at the site that is owned by the company, at cost of Rs 74 crore. The cost will be met by debt and internal accruals/promoters contribution. The plant is expected to be commissioned by April 2018, the company said.
Located within proximity of Kandla Sea Port and Mundra Sea Port, the facility is strategically very suitable to the proposed project as it will reduce freight cost for exports to a significant extent and will give an edge over the competitors.
At Rs 93, Goodluck India is up by nearly 6% from its previous closing price. The stock, which touched a high of Rs 134.40 in early August 2016, declined to Rs 77 by 21 November 2016.
